Hong Kong's Cachet Group all in on Out NYC

Hong Kong-based lifestyle branding and management company Cachet Hotel Group and Merchants Hospitality are teaming up to redevelop Manhattan’s Out Hotel. Rebranded as the Cachet Boutique New York Hotel, the property's changes will be completed this year.

The Carlton Group brokered the deal, which secured the Out Hotel’s $30.4 million purchase loan funded by private lender Silver Arch Capital Partners. The group acted on behalf of the Out Hotel’s owner Merchant’s Hospitality during the agreement.

The hotel is located in Hell’s Kitchen, a block away from Hudson Yards, Times Square, Broadway theaters, Javits Center and Central Park.

The three-story hotel will keep its 105 guestrooms, with renovations to include new art-deco décor, updated wellness facilities, an open-air Zen garden, outdoor spa and Jacuzzi, a 2,000-square-foot indoor-outdoor wine bar and event space and on-site dining.

The Playboy Club, which closed in 1986, will reopen on the ground floor of the rebranded hotel. It will include a lounge bar, a dining room, a game room and a retail shop.

This agreement follows Cachet and Cabo Villas Beach Resort and Spa opening the Cachet Beach Hotel & Beach Club in Cabo San Lucas, Mexico, in February. The opening marks the first phase of Cachet Corazon, CHG's first dual-branded resort destination; the second phase, Cachet Deluxe Los Cabos, is set for completion in 2018.

Last December, CHG set plans with developer Wuhan King Land for its first dual-branded project in Wuhan, China. The Cachet Hotel Apartments and URBN Boutique Hotel will also open in 2018 on the Ace-Mega mixed-use development.